Maximising Australia’s green growth: Leveraging trade and aid policy to drive Australia’s green exports agenda
ASFI is pleased to release a new report from Kaya Partners, Maximising Australia’s green growth: Leveraging trade and aid policy to drive Australia’s green exports agenda, setting out how Australia can work with our trade partners to jointly transition our heavy industries into a net zero world.
In recent years, aspirations have been hatched for Australia become a ‘renewable energy superpower’ combining mineral resources with renewable energy to create green commodities, replacing declining revenue from fossil fuel exports. This could enable Australia to capture a greater share of the commodity value chain in a future clean economy but requires substantial and sustained investment to bring to life. Unlocking this investment will hinge on building confidence and certainty in a vibrant future market for Australia’s clean exports.
The report argues that to realise its potential, Australia needs to do more to develop export markets for our future green industries. It explores the need to work closely with existing trade partners including China and Japan, and points to the potential to develop new demand centres for Australian green commodities in Southeast Asia.
The report proposes a new sustainable growth strategy that aligns the levers of trade and climate finance policies to the green industrial agenda. It sets out a range of actions – such as building out Australia’s climate finance toolkit to invest strategically in clean industry in developing economies, developing joint transition plans with key trading partners, and cooperation to harmonise green standards.
Above all, the report highlights that realising the renewable energy superpower aspiration requires action internationally as well as at home. This will ensure Australia can capture the benefits of the global green transition, and cement its role continue to play an important role in the Asia-Pacific in increasingly uncertain economic and strategic circumstances.